The challenge
Crises often result in financial difficulties and liquidity bottlenecks. Insufficient or no transparency of data in relation to critical success factors makes it even more difficult to identify and analyse the sources of problems.
Another critical issue is the risk of not complying with covenants or having already breached them. This can put a strain on relationships with creditors and investors. The declining trust of stakeholders can further restrict the company's room for manoeuvre.
Particular attention should also be paid to the loss of key personnel, as important and essential employees often leave the company in times of crisis, which can exacerbate the situation.
In addition to the challenges listed above, it is crucial to recognise potential liability risks at an early stage and address them appropriately.
In order to overcome these critical aspects and stabilise the company, rapid and sometimes far-reaching measures are required. Carefully analysing the financial situation and identifying the causes of the crisis are essential.
Our solution
Even experienced managers may need support in challenging times. With our extensive expertise in the field of operational and financial restructuring, we are at your side in all matters and support you in developing suitable measures and solutions so that you can quickly get back on the road to success and avoid liability risks along the way.
Our range of services includes
- Analysis of the crisis situation and causes (Initial Appraisal & Stabilisation): We conduct a thorough investigation of your current situation to identify the causes of the crisis and create a sound basis for our next steps.
- Monitoring of short-term liquidity development (stress diagnostics & options assessment): We keep an eye on your company's liquidity and actively manage it to avoid bottlenecks and minimise financial risks.
- Derivation of strategies and development of an appropriate capital structure (financial restructuring): Together we develop procedures to maintain control in difficult phases in order to manage short-term liquidity risks as well as liability risks.
- Advice and support in developing a target picture for your business model and deriving options and measures to overcome the crisis (Operational Restructuring & Implementation): Together, we develop a clear target picture to position your company on a sustainable path to success.
- Monitoring the progress of implementation (Ongoing Monitoring): With a controlling and reporting approach tailored to your situation, we keep an eye on the progress of the implementation. We also support you in ensuring transparent and trustworthy communication with investors and stakeholders.
You can rely on our many years of experience and expertise to guide your company through these difficult times and ensure a successful restructuring.
Florian Rieser
Partner, Performance & Strategy, Head of Turnaround & Restructuring
KPMG AG Wirtschaftsprüfungsgesellschaft
Dr. Philipp Volmer
Partner, Performance & Strategy, Turnaround & Restructuring
KPMG AG Wirtschaftsprüfungsgesellschaft